Newsflash: Is this normal for a foreclosure? Should we sign?

We made an offer on a house last week and got a verbal acceptance. They never sent back our original offer contract and instead sent their own contract. It has some things that I’m not sure about. Our agent, who is a family member advised us not to sign. She is however a newer agent and has not dealt with many foreclosures. The seller’s agent say this is standard with foreclosures. We are in Alabama.Here’s some things we are not sure about:In the event Buyer requests an extension of the Closing Date or of the deadline for the fulfillment of any contingency, and the Seller agrees to the extension, the Buyer agrees to pay to the Seller a per diem penalty of 100.00 per calendar day towards Seller’s carrying costs, through and including the Closing Date specified in the written extension agreement. The per diem amount must be deposited with the closing agent at the time any request for extension is made. If the sale does not close by the Closing Date specified in the written extension agreement, the Seller may retain the earnest money deposit and the accrued per diem payment as liquidated damages. Our agent says they could also charge us if our lending company delays closing or if it is delayed for any reason.We HAVE to us the seller’s closing & title company OR pay all seller’s closing fees.The deed to be delivered at Closing shall be a deed that covenants that grantor grants only that title which grantor may have and that grantor will only defend title against persons claiming by, through, or under grantor, but not otherwise (which deed may be known as a Grant Deed, Special Warranty, Limited Warranty, Quit Claim or Bargain and Sale Deed). Any reference to the term “Deed” or “Special Warranty Deed” herein shall be construed to refer to such form of deed.Please let me know if this is standard or if there’s a risk or us getting screwed over…..thanks.